Sui Team Speaks on $400M Insider Sale Allegations
Following charges that SUI executives sold $400 million worth of tokens amid a market increase, the Sui team reacted. In a statement on X, the team denied insider sales to the crypto community.
Sui Team Denies Insider Sale Claims
No Sui Foundation, Mysten Labs, or investor insiders sold coins at this time, the team said. The claims surfaced after SUI price rose over 120% in 30 days.
Some in the crypto community worried that insiders were profiting from this fast rise. The Sui Foundation claimed, âNo insiders, neither employees of the Foundation or Mysten Labs (including Mysten Labs founders), nor ML investors, have sold $400M worth of tokens during this period, either individually or combined.â
The Sui team stressed that they had not breached lockup periods or the token's circulating supply plan. The SUI insider trading issue began with crypto analyst Light.
Charges Against Sui
Light stated in a highly shared X post that SUI ICO wallets sold over $400 million in tokens during the rise. The analyst said that âInsiders, including what is likely a large foundation wallet, have sold $400 million in tokens throughout this run-up, had already begun selling material amounts at much lower prices, and are even accelerating their selling at these more elevated levels.â
The Sui team responded that although the wallet address had not been revealed, they thought the tokens were locked up by an infrastructure partner. They said âall token lockups are enforced by qualified custodians and continuously monitored by Sui Foundation, and this partner is in compliance.â
Over the last 24 hours, SUI fell 0.24% to $2.24 on inside trading charges. However, its year-to-date performance has placed it among the top cryptocurrencies in 2024, surpassing TON. Despite these increases, insider trading allegations have unnerved investors.
